[AlunAlun]

Serious answers (from someone who just raised €10M from European VCs for a pre-revenue, pre-launch company):

1) While US investors can and will invest in Europe, they are more likely to do so at a later stage.

2) Not everybody wants to move to the US on a pipedream, particularly those with family, kids, and roots on this side of the Atlantic. Again, at later stages, when there is more stability to the company, this can change.

3) the lower cost of operations in most of Europe partially makes up for the lower amount you raise - our monthly personnel cost is a fraction of what it would be in the bay area. And again, as you grow, and need to hire really senior experienced talent, this changes.

4) there is early stage money in Europe. Maybe you don’t raise 5M with a PowerPoint, but you can raise. There is also a vibrant startup scene with several hubs (Berlin, London, Barcelona). Though I will admit, it’s not as crazy as Silicon Valley where everyone I meet seems to have a crazy startup idea.

The biggest downside I see is that, as a European founder, you likely have to go through one if not two pre-seed rounds before you can raise ‘decent’ money, which dilutes you and puts you at a disadvantage for when you eventually move to the US (which you probably will do at some point, at least in terms of incorporation).

Yet, despite knowing this, I’m not sure I would have done that much different in my journey so far.

[cjblomqvist]

Having raised a (preish) seed round on Europe, I'd like to add that it's even quite common in Europe that they expect you to be able to raise some first money (lead investor) in your home country first. Raising remotely (country wise) is definitely a much bigger challenge, at least in early phases.